The US motor industry seems about to fail. Credit insurers are now withdrawing their support as the firms burn through cash, with faltering sales and outstretched hand for charity. But, with their size, their number of jobs and their Main Street history, these car firms have been deemed too important to fail.
If the Democrats do decide to rescue the US car industry via a bail-out, they will rationalise and reorder. Perhaps they will even wish to intervene as to which models and which research should be undertaken. Think of the opportunity for renewables…renewing jobs, renewing pork, renewing votes. By the end of this process, it is doubtful if there will be any US car industry at all. Congress will have undertaken a wonderful role in clearing out the undergrowth for more efficient rivals and Detroit will go the way of Morris, Austin and the Triumph marques.